PPP loan application window extended two months
LINCOLN, Neb. (KOLN) - Over 80,000 Nebraska businesses have benefitted from PPP loans since last year and an extension signed into law on Tuesday means there’s still time to get federal dollars to help.
The extension for PPP loans moves the deadline to apply from March 31 to May 31, giving eligible businesses two extra months to utilize the program.
In the first draw of applications, Cornhusker Bank helped bring $53 million in PPP loans to Nebraska businesses. During the second draw its done about 330 loans, for $21 million.
“You need to have the first draw before you have a second draw,” said David Shiffermiller, the Executive Vice President of Lending at Cornhusker Bank. “If you didn’t have a first draw you have to draw under the first program parameters before you can draw on the second.”
According to the U.S. Office of Personnel Management, Nebraska has had just over 80,600 PPP loans approved, in total, it adds up to about $4.7 billion.
The average PPP loan in Nebraska comes out to about $58,468.
Second draw loans do have a few more parameters to qualify for than the first.
“Some economic downturn in your business based upon those circumstances,” Shiffermiller said. “The second draw there were additional requirements based on comparison on 2020 finical results compared to 2019.”
Shiffermiller shared that on average it would likely take a business owner about 10 minutes to fill out an application.
In his experience, once it’s processed, it takes just days for the money to hit a business bank account.
“It’s available through May 31 so if there are any questions contact your financial institute,” Shiffermiller said. “We’re not just accepting applications from our customers but all those within the community.”
The extension also applies to the processing and authorization of those applications.
Which has been extended through the end of June.
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